Refinance Break-Even Calculator — Bloomington, IN
This page starts with localized assumptions for Bloomington so you can run quick scenarios. Replace the defaults with your real numbers (rent comps, tax/insurance estimates, repairs, and reserves) to get an accurate result.
Inputs
Results
Refinance makes sense!
- Current payment: $1,730
- New payment: $1,517
- Difference: $213/month
- Closing costs: $4,000
- Monthly savings: $213
- Break-even: 19 months (1.6 years)
- After 1 year: -$1,446
- After 3 years: $3,661
- After 5 years: $8,768
- Current loan (if held): $320,443 (27 years)
- New loan (if held): $306,107 (30 years)
- Difference: $14,336 saved
- New loan amount: $240,000
- Cash needed at closing: $4,000
Tip: If break-even is under 2-3 years and you plan to stay, refinancing usually makes sense. Watch for longer terms resetting your payoff timeline.
How to Use This Refinance Break-Even Calculator (Mini Guide)
Compare your current mortgage to a new rate and find out how many months until refinance costs pay for themselves — essential for timing refinance decisions. These defaults are pre-filled for Bloomington, IN. Always replace them with your real numbers when you have them.
What this calculator shows
Compares your current monthly payment vs a new refinanced payment.
Calculates break-even point: how many months until closing cost savings are recouped.
Shows 5-year net savings to help you decide if it's worth the hassle.
When refinancing makes sense
Rate drops by 0.5%+ and you plan to stay 2-3+ years.
You can switch from ARM to fixed and lock in stability.
You want to shorten term (30yr → 15yr) without drastically increasing payment.
Understanding break-even
Break-even under 24 months = usually worth it.
Break-even 24-36 months = depends on how long you'll stay.
Break-even over 36 months = probably not worth the effort unless rate savings are huge.
Watch out for
Resetting to a new 30-year term extends your payoff timeline significantly.
Lifetime interest may go UP if you extend the term, even with a lower rate.
Don't forget closing costs — they can be $3K-$6K+ depending on loan size.
How to use this calculator in Bloomington
Start with the pre-filled assumptions for Bloomington, then replace them with your deal’s numbers. If you’re an investor, keep vacancy and reserves conservative. If you’re a homeowner, pay special attention to property taxes and insurance — these often drive the rent vs buy decision.
Nearby cities in IN
Explore nearby cities to compare assumptions and outcomes.